+
Report: PE/VC Investment in India Declines 44% to $3.5B
ECONOMY & POLICY

Report: PE/VC Investment in India Declines 44% to $3.5B

The investment in the country by private equity and venture capital funds continued to decrease in May. The overall values saw a decline of nearly 44%, amounting to $ 3.5 billion. The report, which was released by industry lobby IVCA and consultancy firm EY, revealed that in May 2022, the dedicated funds had invested $ 6.2 billion, while in April 2023, they invested $ 7.4 billion. These figures represent a decrease of 44% and 52% respectively.

Vivek Soni, a partner at the firm, mentioned that despite seeing some recovery in tech sector indices and global tech giants, the sentiment towards tech sector investments in India has been lackluster. He also noted that fundraising by Indian startups has been slow. Soni stated that although the funds have a significant amount of dry powder due to substantial fundraises over the past year and a half, they are cautious about deployment. They are mainly focused on managing their existing portfolios, which are struggling to maintain growth and improve margins.

Soni added that only healthcare and financial services have witnessed some investments. He expressed optimism about the medium- to long-term outlook, stating that overall deployments in 2023 will exceed the previous year's numbers.

In May 2023, the total deal activity in terms of volume stood at 71 transactions, which is 42 percent lower compared to the same period the previous year.

The report also highlighted that growth investments decreased by 4 percent, amounting to $ 1.9 billion across 17 deals, as opposed to $ 2 billion invested across 19 deals in May 2022. Additionally, pureplay PE/VC investments reached $ 2 billion across 62 deals, representing a 52 percent decrease in value.

Also read:
PMC notice to 200 building sites' developers
Kandoi Fabrics, director buy two apartments in Mumbai


The investment in the country by private equity and venture capital funds continued to decrease in May. The overall values saw a decline of nearly 44%, amounting to $ 3.5 billion. The report, which was released by industry lobby IVCA and consultancy firm EY, revealed that in May 2022, the dedicated funds had invested $ 6.2 billion, while in April 2023, they invested $ 7.4 billion. These figures represent a decrease of 44% and 52% respectively. Vivek Soni, a partner at the firm, mentioned that despite seeing some recovery in tech sector indices and global tech giants, the sentiment towards tech sector investments in India has been lackluster. He also noted that fundraising by Indian startups has been slow. Soni stated that although the funds have a significant amount of dry powder due to substantial fundraises over the past year and a half, they are cautious about deployment. They are mainly focused on managing their existing portfolios, which are struggling to maintain growth and improve margins. Soni added that only healthcare and financial services have witnessed some investments. He expressed optimism about the medium- to long-term outlook, stating that overall deployments in 2023 will exceed the previous year's numbers. In May 2023, the total deal activity in terms of volume stood at 71 transactions, which is 42 percent lower compared to the same period the previous year. The report also highlighted that growth investments decreased by 4 percent, amounting to $ 1.9 billion across 17 deals, as opposed to $ 2 billion invested across 19 deals in May 2022. Additionally, pureplay PE/VC investments reached $ 2 billion across 62 deals, representing a 52 percent decrease in value. Also read: PMC notice to 200 building sites' developers Kandoi Fabrics, director buy two apartments in Mumbai

Next Story
Technology

Six ways a smarter workflow leads to faster, more accurate bids

In today’s fast-paced civil construction environment, estimators need more than just solid numbers. They need smart, streamlined processes. This article explores six key ways connected workflows can transform the estimated approach, help in minimising risk, move faster, and improve accuracy. By integrating tools, data, and teams, one can produce stronger bids with less rework, fewer surprises, and more confidence. As an estimator, the job goes beyond producing numbers. They are responsible for delivering bids that are fast, accurate, and built to win. In today’s civil construction ind..

Next Story
Real Estate

Experion Launches Women-Only Co-Living Project in Greater Noida

Experion, part of Singapore-based AT Capital Group, has launched its first co-living space under its managed rental housing brand, VLIV, in Greater Noida. The all-women residence features 730 twin-sharing beds with a strong focus on safety, comfort, and well-being. VLIV has committed a $300 million investment to create a structured, service-led rental housing ecosystem in India. The brand aims to scale up to 20,000 beds in the next few years, with a long-term target of 100,000 beds nationwide. “India’s rental housing is fragmented. VLIV is our way of building long-term, dependabl..

Next Story
Infrastructure Urban

Officine Maccaferri Acquires CPT to Bolster Tunnelling Tech

Ambienta’s platform company, Officine Maccaferri S.p.A., has acquired CPT Group, a leading Italian developer of robotic prefabrication systems and digital control technologies for mechanised tunnelling. The move positions Maccaferri as a global player in integrated tunnelling solutions, blending traditional and advanced mechanised systems. Based in Nova Milanese, CPT serves major global contractors across Europe, Southeast Asia, and Australia. The company offers robotic prefabrication (Robofactory), productivity-monitoring software for Tunnel Boring Machines (TBMs), and eco-designed spa..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement

Talk to us?